Germany suspends ‘beer taxes’ amid coronavirus crisis

The German government has announced that it is postponing the payment by brewers of the annual tax on the sector, a Finance Ministry spokesman confirmed.

The federal government, and the finance administrations of the various Länder, want to give a breath of fresh air to the brewers, whose finances have been hit by the coronavirus (Covid-19) crisis.

“In order to improve the liquidity of breweries in the current difficult situation and to protect jobs, the Federal Ministry of Finance and the state counterparts have agreed that the beer tax can be deferred”, a spokesman for the Federal Ministry of Finance told the German press.

The German Brewers’ Association has welcomed this as an important signal for the sector. Many German breweries have seen their exports evaporate within a few weeks, not to mention the cancellation of public events and the closure of restaurants across the Rhine to curb the spread of the virus.

According to finance ministry figures, the 2019 beer tax is expected to amount to a total of around €650 million